Smith v. Cooper

Citations

• 120 F. 230
• 56 C.C.A. 578
• 1903 U.S. App. LEXIS 4477

Syllabus

<p>1. Involuntary Bankruptcy — Attorneys for Creditors — Fees—Allowance.</p> <p>Petitioners were attorneys for creditors in involuntary bankruptcy proceedings, and obtained an order adjudging the debtor a bankrupt. A receiver in insolvency having been appointed in the state court, injunction proceedings were brought by such attorneys to compel the receiver to turn over the property to the trustee in bankruptcy. This proceeding was contested, and such attorneys followed a decree in their favor to the Circuit Court of Appeals, where the decree was reversed. Thereupon the attorneys applied to the United States Supreme Court for certiorari to review the decree of the Court of Appeals, which application was refused; whereupon, pending an application to the state courts for an order requiring the receiver to surrender the assets, a compromise was effected, by which $2,500 was paid by the receiver to the trustee, which was all the money the trustee received from the estate. On an application for the allowance of attorney’s fees, a master allowed the sum of $1,000, which was not objected to by any of the creditors of the estate. Held, that the judgment of the district court in reducing such fees to 10 per cent, of the amount remaining in the hands of the trustee, after payment of costs and expenses, which amounted to $196.68, should be amended, and a fee of $1,000 allowed.</p>